Virtualization is the next
generation of business computing and data center architecture.
Virtualization allows a company to run many servers and
computing services, on a single server computer.

Virtual servers are run as a software instance on a computer
configured to run multiple “virtual” servers simultaneously. The
virtual server runs just like it does when running on a
dedicated machine, and the operating system is virtually
allocated memory, processing power, and storage space. However,
the computer running that specific server can also run several
other services and software “virtual” servers, with resources
allocated for each virtual server as required individually and
exclusively.

If the administrator wants to add a new server, they can create
one virtually without the need to go purchase additional
hardware to run the server. Due to the fact that many services
only require a portion of the system resources at any given
time, a robust system configured with significant memory,
processing power, and storage capacity, can accommodate multiple
servers and business systems with ease.

Quite simply virtualizing your server infrastructure can save
you time, money and labor. It can also save energy, requires
less real estate, and reduces the need to purchase hardware that
depreciates rapidly. In fact, some companies can run their
entire business on a single machine as opposed to a rack full of
machines.

But how does this technology save you money?

Often times when businesses consider deployment of new
technology they only examine the cost of the equipment, software
and warranty plans. But what about the power it takes to run the
hardware? And how about the power required for the air
conditioning and ventilation systems which cool the room where
the hardware resides? Additionally hardware systems require
surge protectors, power supplies, peripheral devices and
accessories and rack space. Let’s not forget about the real
estate to house the equipment.

When virtualizing servers, you will be required to purchase
robust hardware, meaning systems that are reliable, secure, and
durable. But remember, systems meeting these standards typically
have a lower total cost of ownership because they require less
maintenance, propose less of a threat to business continuance,
and are less likely to blow up in your face, in general.

You will also need to have staff on your team that are capable
of managing the virtualized environment, but for the most part
companies that host multiple servers and computing services
already have staff onboard, and a consolidated, simplified
infrastructure is much easier for the staff to manage, it is
certainly easier than running multiple services on multiple
hardware systems.

"So, where’s my savings?"
The savings come it two forms, hard-cost savings and soft-cost
savings. The hard costs are usually fixed and very straight
forward, the soft costs are variable but apparent through the
lifecycle of ownership.

Hard and soft costs...
I served a medium-sized company as a client recently and I will
use them as example of both hard savings and soft savings. The
company was able to reduce their hardware resources from (8)
eight physical servers to (2) two physical servers. The customer
was no longer required to purchase so much equipment for the
same deployment when hardware upgrades are due, they simply
purchase two new servers instead of eight new servers, hard cost
savings. That also meant that they were no longer required to
maintain warranty contracts for eight servers, just two, more
hard cost savings. They reduced the number and size of UPS
(uninterruptable power supplies) required in the data center.
Furthermore, when changes, adds and moves are required, they
manage it all from one central interface instead of logging into
eight separate servers using KVMs and other peripherals that
cost money, wear out frequently, create clutter and add extra
steps. So, they saved on server hardware, server warranties, and
peripheral accessories, and also the "hard" or "fixed" costs
were reduced throughout.

This company had a major cooling challenge.

The data closet was so hot… how hot was it? The computer room
was so hot that staff members positioned high velocity fans in
front of the closet and in front of the network rack, in order
to extract heat to and keep the hardware from melting. The fans
transferred heat to the rest of the office. Not only was the
sound unbearable and annoying, the air conditioning was kept
“on” throughout the office zone, and everyone working in that
area were forced to endure frigid air in their workspace. It
kept the servers cool but conversely the technicians had to
tolerate the extracted hot air being forced through their
workspace by the high velocity fans in the server room.

This created a mix of variable costs. The cost to power eight
servers, and the high velocity fans which increased dramatically
in recent years with the increase in energy prices, and of
course the power to constantly run air-conditioning was quite
expensive. The UPS and other accessories required more power in
addition to the core systems. The employees hated working in
that zone of the office. By virtualizing their server
infrastructure, they were able to get rid of the high velocity
fans and place the servers in a smaller zone, reducing
electrical bills, and improving the comfort level of the office
space, employee productivity and morale improved dramatically
for those staff members affected, a soft cost which plays an
important role in any business.

Then there is the soft cost of real estate. Now albeit a small
business with eight servers was not required to rent the Taj
Mahal in order to accommodate the equipment, however real estate
in Los Angeles County is not cheap. If you have a machine room
of any significance you are certainly paying for every square
foot of space. In a city where studios, design firms, and
editing suites abound, large machine rooms and computer closets
can raise the rent, especially if your company is growing and
adding resources, or moving to a new location. Real estate is a
variable cost, but it is a stark reality for a business manager,
regardless of the current state of the real estate market in
today’s economy.

Modern and advanced virtualization technology enables business
owners, managers and network administrators to make changes,
adds and moves with ease from a central control panel. With high
availability options, a virtualized network can prepare your
business for disasters or disruptions and keep you open for
business at all times without disrupting workflow for your
employees and without interruption of service to your customers.
Staying open for business is a less tangible cost to calculate,
but getting back up and running after a major disaster, outage,
or unforeseen business interruption, well that’s priceless.
Virtualization empowers a business with high availability
configurations like never before, providing you the security of
always being open for business.

In conclusion, companies deploying a virtual server
infrastructure enjoy the following business benefits, hard
savings, soft savings, and efficiencies.